Finance Property Auction clearance rates continue to rally in Melbourne and Sydney

Auction clearance rates continue to rally in Melbourne and Sydney

weekend auction wrap July 27
This six-bedroom Gold Coast mansion sold before auction for $5.5 million. Photo: Amir Mian Prestige Property
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Melbourne’s weekend auction market had its highest clearance rate since 2017, with the CoreLogic figures showing a 74 per cent success rate.

It reflected a substantial boost on Melbourne’s recent clearance rates, which have consistently been in the 60 per cent range for the past eight weeks.

But despite the improved market conditions the 119-year-old Footscray and District Angling Club didn’t snag a buyer for its Yarraville base.

The shopfront building at 70 Peatland Parade – with fish and mermaid murals on its facade – was passed in on a $750,000 vendor bid after just one earlier bid.

weekend auction wrap July 27
The property had a $790,000 to $820,000 price guide. Photo: Hockingstuart

Hocking Stuart Yarraville agent Leo Dardha advised a $780,000 reserve had been set.

There had been $790,000 to $820,000 price guidance for the 180-square-metre premises marketed as poised for conversion.

The fishing club members met monthly to discuss “where we’ve been fishing, what fish we’ve caught, what bait and lures we’ve used, and club business”, its president Lucky Pavlidis told The Herald Sun.

The club plans to move its headquarters somewhere closer to the water while staying in the western suburbs.

Melbourne had the nation’s cheapest sale, but it represented a loss for the vendor.

The $215,000 studio apartment was sold pre-auction at 37/87 Alma Rd, St Kilda East.

weekend auction wrap July 27
The studio apartment sold for less than it did in 2009. Photo: McGrath Real Estate

It was offered with a $200,000 to $220,000 price guidance having sold for $255,000 in 2013 and $228,100 in 2009.

It was offered as a $280-a-week rental last year.

Commentators attribute the overall market improvement to factors including low auction volumes, the RBA governor Dr Philip Lowe advising rates would be staying low for a while, and the restored confidence since the federal election.

Melbourne’s highest sale was at Murrumbeena at $2.265 million.

The 11 Wahroongaa Crescent offering through Jellis Craig was a four-bedroom 1920s residence.

weekend auction wrap July 27
The house was on a 743-square-metre block. Photo: Jellis Craig

CoreLogic noted a 78.5 per cent preliminary clearance rate across Sydney, making it the best-performing capital city.

There were 391 Sydney homes taken to auction, up on the week prior when 303 homes were auctioned.

Sydney’s final prior week success rate had been 72.8 per cent.

Across the smaller auction markets, Adelaide was the best performing with a preliminary clearance rate of 56 per cent, while only 14 per cent of Perth homes sold at auction.

Canberra secured a 55 per cent success rate and Brisbane had a 41 per cent clearance rate.

There was a pre-auction sale on the Gold Coast when $5.5 million was paid for a newly built, opulent six-bedroom, seven-bathroom mega-mansion on the Sovereign Islands.

weekend auction wrap July 27
The mansion has a floorplan of 1085 square metres. Photo: Amir Mian Prestige Property Agents

The luxury inclusions at 85 The Sovereign Mile included a “presidential master suite”, an underground entertainment den, vertical garden and pool.

weekend auction wrap July 27
The property had sweeping canal views. Photo: Amir Mian Prestige Property Agents

Ivy Wu, at Amir Mian Prestige Property Agents, sold the house to a local family.

There were 1115 homes taken to auction across the combined capital cities, up from the 896 homes auctioned last week.

The national preliminary auction clearance rate sat at 71.2 per cent after last week’s 65.4 per cent final clearance rate.

Over the same week one year ago 1536 were taken to auction.

The highest residential sale across the capital cities was in Sydney where 79 Junction Road, Wahroonga fetched $3.36 million through McGrath.

weekend auction wrap July 27
The house has a tennis court, pool and putting green. Photo: McGrath Real Estate

The five-bedroom, 2004-built home last sold in 2005 for $1.63 million.

Jonathan Chancellor is editor at large with Property Observer

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